unlike medical insurance premiums, which belong to your health insurance provider. So, when you draw the HSA money, it is called a “distribution” instead of a “benefit.”
Unlike an HSA contribution, employer contributions to health FSAs don't count toward the annual contribution cap. In general, electing to sign up for an HSA or FSA is a good financial move, but it helps to understand how the accounts work. Differences between HSAs and FSAs Health savings ...
FSA vs. HRA vs. HSA FAQs When you’re creating a competitive benefits plan for employees, good healthcare options should be a top priority. In addition to health, dental and vision insurance, many employers choose to offer employees supplemental tax-free accounts that can be used to pay for...
HSA or FSA: Which should you choose? Except for some limited-purpose FSAs that only cover dental, vision or dependent care, you can't contribute to both an HSA and an FSA. So, you'll have to decide which is best for your needs. An HSA is most advantageous if you don't have freque...
HSA vs. FSA: Key differences HSAs can be offered through an employer or you can sign up for one independently, as long asyou have a high-deductible healthcare plan. FSAs can only be accessed through your employer, if they offer the option. In 2025, individuals can contribute $3,300 to...
BothHSAsandFSAsprovide financial benefits for managing health care expenses. HSAsoffer more flexibility and long-term growth potential, making them a valuable tool for future financial planning.Learn about HSA options from Aetna. FSAs, while more restrictive in terms of rollover and ownership, provid...
HSA: Health Savings Account (HSA) FSA: Flexible Spending Account (FSA) HRA: Health Reimbursement Arrangement (HRA) Brokerage and trading: Mutual funds Other: Dependent Care, Commuter, Lifestyle, COBRA, Direct Billing, Premium Only Plans Investment options HealthEquity offers access to 3 options for...
Find out what you need to know when deciding between FSA vs. HSA, plus learn the 2025 FSA and HSA rates and limits.
A Health Savings Account (HSA) is a tax savings benefit for employees. The plan allows employees to allocate a specific portion of their pre-tax salary to the plan. The money that accumulates in the plan can be used for approved expenses. These may include areas such as dependent care serv...
Employees do not need to report FSA contributions or distributions on their tax returns. This differs from an HSA or Archer MSA, which requires the employee to report the contributions on Form 1040. For more information on FSA plans, consult the IRS’sPublication 969. ...